Home / Analysis / Crypto / Technical Analysis / Terra Classic (LUNC) Price Surges 25% After Jane Street Scandal, Now Binance March 2026 Burn Could Accelerate Breakout
The lawsuit accuses the prominent high-frequency trading firm of using non-public information to front-run and accelerate the collapse of TerraUSD (UST) in May 2022.
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According to the filing, that crisis erased approximately $40 billion in market value within days.
Furthermore, it triggered a broader crypto market downturn that extended well into 2023. Jane Street has denied the allegations, calling the lawsuit baseless.
However, the market’s reaction was immediate. LUNC’s price, already consolidating near key support, broke upward on the news.
As seen below, the Terra Classic token has triggered one of the most bullish chart patterns in technical analysis.
Terra Classic Breaks Out of Cup-and-Handle Pattern
LUNC trades at $0.000042, having broken above the neckline of a cup-and-handle formation at $0.000036.
The pattern formed over six weeks. A rounded cup base developed from late January through mid-February, followed by a tighter handle consolidation just below the neckline.
Furthermore, the price exploded higher, peaking at $0.000049 before pulling back to current levels.
In the meantime, the Money Flow Index (MFI) at 90.23 is in overbought territory. This indicates that massive capital flooded in on the breakout.
However, pullbacks are likely as short-term holders take profit,
The Holders Sentiment indicator is equally striking. It has spiked to 21.50.
Should this remain the same, it could lead to a short squeeze, potentially extending the altcoin’s breakout.
Binance Burn Is Coming
The second catalyst is time-sensitive and predictable. Binance runs a monthly LUNC burn program that converts a portion of trading fee revenue collected in LUNC into permanent supply destruction.
The January 2026 edition burned 5.33 billion tokens in a single transaction. During that period, it climbed 20 to 24% over 24 hours, while daily volume surpassed $110 million, a 620% increase.
On Feb. 1, Binance burned 1.03 billion LUNC tokens, but the price didn’t move much, even though it jumped slightly. Moreover, the pattern is well-established.
With the next burn set for March 1 and the market undergoing mild stability, LUNC’s price could trade a bit higher.
That’s if the broader market condition does not worsen before the weekend.
LUNC Price Analysis
The daily chart adds vital context to today’s breakout. LUNC trades at $0.000042, and the bigger picture reveals just how significant the move is.
After the December spike to $0.000082, LUNC shed 48.52% in a controlled descent inside a descending channel, grinding from the 0.5 Fib down toward the 0.236 level at $0.00003139.
That channel held the price hostage for two full months.
At the time of writing, the LUNC price now sits above the 20-EMA ($0.000036) for the first time since December.
The 0.382 Fibonacci level at $0.000043 is the immediate test. A daily close above that level would be a strong structural confirmation.
In addition, the Awesome Oscillator (AO) has just crossed above zero — a bullish signal emerging from two months of negative readings.
The Fibonacci ladder sets clear targets above. The 0.5 level at $0.000049 is the next resistance, followed by $0.000056 (0.618) and $0.000068 (0.786).
Nevertheless, structural caution remains appropriate. LUNC’s circulating supply of approximately 5.5 trillion tokens is enormous.
Additionally, the Jane Street lawsuit is in its early stages. Legal proceedings can drag on for years, and an unfavorable development could quickly reverse sentiment.
Therefore, traders might need to distinguish between the short-term momentum trade and a long-term recovery thesis.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Victor Olanrewaju is a crypto analyst and reporter at CCN with deep roots in on-chain research and technical analysis. His crypto journey began in 2017, but it was the 2020 Uniswap airdrop that sparked a full-time pivot into the space.
With a foundation in copywriting, Victor honed his craft creating high-converting content for leading crypto brokers — most notably an XRP price prediction that ranked #1 on Google during the 2021 bull run.
He later joined AMBCrypto in 2022, where he combined storytelling with technical and on-chain analysis to cover key market narratives.
In 2024, he expanded his expertise at BeInCrypto, collaborating with analysts and using tools like Glassnode, Santiment, and IntoTheBlock to break down Bitcoin and altcoin trends.
At CCN, Victor covers the top cryptocurrencies, memecoins, macro shifts, blending real-time insights with deep-dive metrics.
He holds a Bachelor’s degree in Physics from the University of Ibadan, equipping him to simplify complex data for a wide audience. Follow his work or connect on LinkedIn or X.
